The IMF offers loans to developing countries in times of balance of payment constraints, but the IMF also faces strong criticisms because:
A. contractionary fiscal policy and expansionary monetary policy tend to be ineffective against balance of payment constraints.
B. contractionary fiscal and monetary policies are always undesirable for any developing country.
C. it employs economists that know little about developing countries and their economic affairs.
D. the conditions tend to be procyclical, therefore worsening the recessions.
Answer: D
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A) market-based policies. B) global initiatives. C) strong-arm tactics. D) command-and-control policies.
Shouldn't better informed investors be able to profit from the deviations from pricing efficiency caused by noise traders?
What will be an ideal response?
Adverse selection occurs when
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A decrease in worker productivity
A. reduces the demand for labor. B. reduces the supply of labor. C. increases the demand for labor. D. increases the supply of labor.